A West Midlands-based recruitment and training company for the public sector has been sold in a multi-million pound deal.

Biscom, which specialises in providing unemployed or disadvantaged people with jobs, has been bought by US-based human resources company ResCare Inc.

The business, which has contracts with Job Centre Plus and the Learning and Skills Council, has six offices in Birmingham, Stafford, Walsall and Wolverhampton.

Biscom works with Government departments to reduce repeat claimants of jobseekers' allowance and incapacity benefit.

The company claims it places 50 per cent of its job applicants in employment, compared with the national average of seven per cent.

ResCare, a $1.3 billion (£641 million) turnover business based in Louisville, Kentucky, has bought Biscom to get a foothold in the UK

and European markets. Biscom managing director Kate Edwards, who set up the company with her husband Nick in 1992, will remain as a consultant at the company.

She said: "ResCare is an organisation which shares Biscom's vision of providing quality training which meets the needs of learners, partners and employers in a friendly, supportive and exciting environment. The excellent synergy between the two organisations, and a shared commitment to growth through the provision of market-leading recruitment and training services, provide a foundation on which to build for the future.

"The deal will safeguard the jobs of our 200-plus dedicated staff, while the planned growth will create hundreds of new jobs around the UK and in Europe."

Shah Zaki, a partner in Birmingham-based corporate finance firm Orbis, who acted as lead adviser on the deal, said: "This was very exciting for us to be involved in as we were able to access a number of strategic international potential buyers and conclude a deal which reflected Biscom's market potential.

"With the backing of ResCare Inc, the business will not only benefit from financial support but also the expertise of a well-established human resources firm, to enable it to continue winning high value contracts."

Briony Gibson, who project managed the transaction for Orbis, said: "At the same time, Biscom has built up an impressive portfolio of clients, with invaluable experience and an impressive database of job seekers."

The Birmingham office of law firm Cobbetts advised the shareholders of Biscom. Corporate finance partner Adrian Cutler led the deal, along with associate Nick Dawson.

Mr Cutler said: "It is a huge step forward in the development of Biscom. Both Kate and Nick have worked hard to build up the business over the past 15 years."

Ralph Gronefeld, ResCare president and chief executive, said: "The Biscom acquisition provides ResCare with further expansion into the European Union and complements our recent majority purchase of the Maatwerk Groep, a Netherlands company with locations in the UK, Netherlands and Germany."